The investment sales market picked up tremendously in the third quarter, partly due to large scale transactions in China. Both domestic and cross-border investors are still actively looking for opportunities offering stable returns.

A market reduction in the number of larger leases, particularly by tech and entertainment companies, kept leasing activity under its long-term average during the second half of the year. As demand slows across more of the market, tenants are finding a few more space options even in West Los Angeles.

Employers continue to cater to the tastes and preferences of talent. So too are office landlords. Generous concessions are no longer enough to capture and lure tenants. In a world of reduced demand, asset differentiation is critical. Savvy owners are adding shared amenities in the building and space buildout that enhance the comfort, convenience and productivity of their tenants, and their employees.

Total hotel investment volume increased in 2017 even while transaction activity has been subdued in key mature markets. The fundamentals of the hotel sector in the Asia Pacific region have remained strong and transaction activity in the region in 2018 is expected to increase.

At the close of 2017, a majority of SPOC markets outside of the US and Mexico increased in overall costs (year-over-year as measured in USD) as global real estate markets strengthened and the dollar depreciated against 2016 highs.